This paper analyzes the effect of agglomeration economies on firms' total factor productivity. We propose the use of a control function approach to overcome the econometric issue inherent to the two-stage approach commonly used in the literature. Estimations are conducted separately for four...

This paper analyzes the effect of agglomeration economies on firms' total factor productivity. We propose the use of a control function approach to overcome the econometric issue inherent to the two-stage approach commonly used in the literature. Estimations are conducted separately for four...

Following reunification, productivity in eastern Germany grew rapidly. A strong industrial sector is key to a thriving German economy. However, the narrowing of the industrial productivity gap between eastern and western Germany has come to a standstill since the financial and economic crisis...

In Ostdeutschland ist die Produktivität nach der Vereinigung rasant gestiegen. In dem für die Leistungsfähigkeit der Wirtschaft zentralen Bereich der Industrie jedoch ist der Annäherungsprozess zu Westdeutschland seit der Finanz- und Wirtschaftskrise zum Erliegen gekommen. Die Lücke im...

This paper analyzes the effect of agglomeration economies on firms’ total factor productivity. We propose the use of a control function approach to overcome the econometric issue inherent to the two-stage approach commonly used in the literature. Estimations are conducted separately for four...

This paper analyzes the effect of agglomeration economies on firms' total factor productivity. We propose the use of a control function approach to overcome the econometric issue inherent to the two-stage approach commonly used in the literature. Estimations are conducted separately for four...

Following reunification, productivity in eastern Germany grew rapidly. A strong industrial sector is key to a thriving German economy. However, the narrowing of the industrial productivity gap between eastern and western Germany has come to a standstill since the financial and economic crisis...

In Ostdeutschland ist die Produktivität nach der Vereinigung rasant gestiegen. In dem für die Leistungsfähigkeit der Wirtschaft zentralen Bereich der Industrie jedoch ist der Annäherungsprozess zu Westdeutschland seit der Finanz- und Wirtschaftskrise zum Erliegen gekommen. Die Lücke im...

This paper analyzes the effect of agglomeration economies on firms' total factor productivity. We propose the use of a control function approach to overcome the econometric issue inherent to the two-stage approach commonly used in the literature. Estimations are conducted separately for four...

European and German economic policy are increasingly shifting their emphasis to small and medium- sized enterprises (SMEs). In 2008, the European Union adopted the Small Business Act with the goal of creating better underlying conditions for smaller businesses. The German government is also...